EUR/CZK could test 25.48 – BBH

Analysts at BBH now expect the Czech Koruna to gather traction towards the 25.48 area.

Key Quotes

“EUR/CZK has not really traded with the rest of EM, even after the CNB ended the floor “near” 27 back in April”.

“Using the 2013-2015 rise, the last major retracement objective (62%) near 26.65 has been broken and this sets up a test of the October 2013 low near 25.48”.

“A break below 25.90 would set up a test of the September 2012 low near 24.28.  The 200-day MA comes in near 26.855”.